Best Nanny Payroll Services
For most families, SurePayroll is the best nanny payroll service, because it packages a dedicated household plan with Schedule H support rather than asking you to run a business payroll product. If you'd rather use a modern platform and don't mind that it isn't built specifically for households, Gusto and OnPay both file federal, state, and local payroll taxes at published prices.
Household employment is its own compliance corner. When you pay a nanny, senior caregiver, or housekeeper above the annual threshold, you generally become a household employer with withholding, filing, and year-end W-2 obligations — and household employers typically report federal employment taxes on Schedule H with their personal return rather than filing business payroll returns.
Because the stakes here are personal tax returns rather than a company's books, this page is deliberately conservative. Where a provider's household-specific handling isn't documented on its review page on this site, we mark it as something to confirm rather than assume.
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Our ranked picks
Our top pick for nanny payroll is SurePayroll, a provider we earn nothing from. We do earn a commission from Gusto, OnPay, and Patriot. Rank order here follows household-specific fit, not compensation.
- 1Best for household employers
SurePayroll
Families paying a nanny, caregiver, or housekeeper
SurePayroll is the only provider in this group with a plan built specifically for households. Its SurePayroll Household plan covers household-employer payroll, Schedule H support, and tax filings, which maps directly onto what a family employing a nanny actually needs.
That specificity is the entire argument. A household employer doesn't need benefits administration, org charts, or HR workflows — they need correct withholding, correct filings, and a W-2 at year end, handled by a service that understands the household context.
Where it falls short- Benefits and HR functionality are minimal, though most families don't need them.
- The interface is basic compared with Gusto.
- The Nanny/Household plan is $45/month including one employee (pricing verified August 2026).
- being verified: confirm exactly which household filings are included, and how state-level household requirements are handled in your state.
- 2Best modern platform for household payroll
Gusto
Families who want a polished experience and easy employee self-onboarding
Gusto is full-service — it files federal, state, and local payroll taxes and issues W-2s — and its Simple plan is $49/month plus $6 per person, so paying one nanny is a predictable monthly figure. Employee self-onboarding means your nanny enters their own details and tax elections.
It's a business payroll product used for a household purpose rather than a household product, which is fine for many families but worth naming plainly.
Where it falls short- Not marketed or packaged as a household-employer product.
- You'll pay for platform features a household employer will never use.
- Simple is single-state only, which is a factor if your caregiver works in a different state than your home.
- being verified: confirm how Gusto currently handles household employers and Schedule H reporting before choosing it for nanny payroll.
PayrollSignal may earn a commission if you sign up through this link. It does not affect our ranking.
- 3Best flat price for one employee
OnPay
Families who want everything included in a single rate
OnPay is $49/month plus $6 per person with no tier ladder: unlimited pay runs, federal, state, and local tax filings, W-2 and 1099 filings, and multi-state payroll included. For a single household employee, that's about as simple as pricing gets.
The flat structure also means nothing changes if your situation gets slightly more complicated — a second caregiver, or a caregiver working across a state line.
Where it falls short- Not a household-specific product.
- No cheaper single-employee tier: you pay the full base for one nanny.
- being verified: confirm OnPay's current household-employer support, including Schedule H handling.
PayrollSignal may earn a commission if you sign up through this link. It does not affect our ranking.
- 4Lowest-cost option to consider
Patriot Payroll
Cost-focused families who want full-service filings at the smallest bill
Patriot's base price is among the lowest available for full-service payroll, and its Full Service plan files federal, state, and local payroll taxes with a tax filing accuracy guarantee. For a one-employee household payroll, the monthly difference against the $49-base providers is real money over a year.
The important caveat is which plan you buy. Patriot's cheaper Basic Payroll plan calculates payroll but leaves the filings and deposits to you, which is the last thing a household employer should take on by accident.
Where it falls short- Basic Payroll is not full-service — you would be filing your own household payroll taxes.
- No household-specific packaging or guidance.
- Basic Payroll is $17/month plus $4 per worker paid, but you handle the tax filings and deposits yourself; Full Service Payroll is $37/month plus $5 per worker paid (pricing verified August 2026).
- being verified: confirm whether Patriot supports household employers and Schedule H reporting.
PayrollSignal may earn a commission if you sign up through this link. It does not affect our ranking.
Compare the picks side by side
| Provider | Starting price | Per person | Best for |
|---|---|---|---|
| SurePayroll | $45/mo incl. 1 employee | $7 / worker / mo | Families paying a nanny, caregiver, or housekeeper |
| Gusto | Simple: $49/mo base | $6 / person / mo | Families who want a polished experience and easy employee self-onboarding |
| OnPay | $49/mo base | $6 / person / mo | Families who want everything included in a single rate |
| Patriot Payroll | Full Service: $37/mo base | $5 / worker paid / mo | Cost-focused families who want full-service filings at the smallest bill |
Prices shown come from each provider's review page on this site. Confirm current pricing with the provider before signing up — payroll pricing changes often.
Pricing verified August 2026
How we picked
For household employers we weight compliance fit above everything else. The first question is whether the provider packages household payroll at all, including Schedule H support, because the household reporting path differs from ordinary business payroll returns.
After that we weight total monthly cost for exactly one employee, whether full-service filings are included in the specific plan being sold, and how much guidance a first-time employer gets during setup. Platform breadth — benefits, HR, analytics — is worth almost nothing here and we score it accordingly.
Where a provider's household handling isn't documented on its review page on this site, we've marked it as something to confirm rather than filling the gap with an assumption. For a payroll that flows onto your personal tax return, a guess is not good enough.
Every provider is scored against the same criteria. Read our payroll software review methodology.
Frequently asked questions
What is the best nanny payroll service?
For most families, SurePayroll, because it offers a dedicated household plan covering household-employer payroll, Schedule H support, and tax filings rather than adapting a business payroll product. Gusto and OnPay are reasonable modern alternatives that file federal, state, and local payroll taxes at published prices.
Do I really have to run payroll for a nanny?
If you pay a household employee more than the annual threshold set by the IRS, you generally take on employer obligations including withholding, tax reporting, and issuing a W-2. Thresholds and state rules change, so confirm the current figures with the IRS or your own tax professional before deciding.
What is Schedule H?
Schedule H is the schedule household employers generally use to report federal household employment taxes with their personal income tax return, rather than filing business payroll returns. A household payroll service that supports Schedule H is preparing you for that filing path.
How much does nanny payroll cost?
Published-price providers charge a monthly base plus a per-person fee: Gusto's Simple plan is $49/month plus $6 per person and OnPay is $49/month plus $6 per person. SurePayroll's Household plan and Patriot's plans are published but should be confirmed directly, since pricing changes.
Can I just pay my nanny cash?
Paying cash without meeting your withholding, reporting, and W-2 obligations exposes you to back taxes, penalties, and interest, and it leaves your caregiver without documented earnings for Social Security, unemployment, or a mortgage application. Talk to a tax professional about your specific situation rather than treating it as a gray area.
Is the cheapest plan good enough for one household employee?
Only if it is genuinely full-service. Patriot's Basic Payroll and similar low-cost plans leave the filings and deposits with you, which is a poor trade for a household employer whose payroll taxes flow onto a personal tax return.
The bottom line
Start with SurePayroll's household plan unless you have a specific reason to want a broader platform. It's the only option here designed for the situation you're actually in.
Before you sign up anywhere, confirm two things directly with the provider: that they support household employers in your state, and that the plan you're buying includes the filings. And because this payroll lands on your personal return, run the setup past your own tax professional — this page is general information, not advice about your situation.
Read how we research and score payroll providers in our payroll software review methodology.